Life Insurance in New Jersey
You likely don’t want to think about your own death. It’s important, however, to consider how the people who depend on you will continue to survive financially after you’re gone. As a New Jersey resident, purchasing life insurance is one way you can help ensure that your loved ones will always be protected, even if you are not there to take care of them.
When shopping for New Jersey life insurance, you need to be aware that there are certain industry regulations that vary from state to state. The New Jersey State Department of Insurance issues various regulations for life insurance policies that pertain to a number of important features.
Why do I need life insurance?
With life insurance coverage, you can feel secure knowing that your beneficiaries will have some help covering your final expenses and other financial needs they’ll face without you.
New Jersey was ranked 10th out of 50 states and the District of Columbia in life expectancy in 2014, with a life expectancy of 80.04 years. Even with this in mind, people living in New Jersey may want to consider their life insurance options.
New Jersey life insurance specifics
The insurance industry in New Jersey is regulated by The State Insurance Code of New Jersey. The state uses this code to regulate claims and provide certain provisions to protect New Jersey life insurance consumers, such as:
- Free Look Period
According to the New Jersey state code, life insurance companies are required to give you a Free Look Period to review your policy and decide if you want to keep it. If you decide during this period (within 10 days of the issuance of the policy) that you don’t want to keep it, you can cancel the policy for a full refund.
- Grace Period
A grace period is allowed on all late payments under the New Jersey state insurance code. If you miss a premium payment for any reason, all New Jersey life Insurance providers must give you at least 30 days to bring the account current before the insurer can cancel the policy for non-payment.
New Jersey life insurance state resources
New Jersey Department of Banking and Insurance
The purpose of the Department of Banking and Insurance is to faithfully execute the state insurance laws in a manner that protects insurance consumers and the New Jersey life insurance industry.
New Jersey Life and Health Insurance Guaranty Fund
The state guaranty association is there to provide protection and continuing life insurance coverage in New Jersey, even in the event that a life insurance company becomes insolvent.
Life Insurance Company Ratings From A.M. Best, Standard and Poors and Moody’s
A.M. Best and Standard and Poors provide ratings for life insurance companies based on financial strength and past performance.